An established Bitcoin mining firm recently reported impressive financial results for 2024, highlighting total revenues of $376.7 million alongside a net income of $109.4 million. These outcomes are especially remarkable considering the difficulties faced by the broader industry, such as changes related to Bitcoin’s halving and a sharp rise in global competition, measured by hash rate increases.
The company concluded the year with a substantial deployed hash rate of 31.5 EH/s and managed to enhance its Bitcoin inventory to 17,722 units, reflecting a significant growth of 141% compared to the previous year.
In 2024, the organization effectively enhanced operations at its Corsicana Facility and executed an acquisition of Block Mining and E4A Solutions, a firm specializing in electrical engineering services. Its strategic approach to power consumption resulted in an efficient average cost of 3.4 cents per kilowatt-hour across all facilities.
However, despite these accomplishments, increased production costs were a notable challenge. The mining cost for each Bitcoin surged to $32,216 in 2024, a stark rise from $3,831 the year before. This escalation in costs was influenced by a dramatic 53% drop in power credits, the effects of the halving event, and intensified competition in the global network.
Although financial revenues saw an uptick, Bitcoin production experienced a decline: the company mined 4,828 Bitcoins compared to 6,626 in 2023. Nevertheless, Bitcoin mining revenue climbed significantly to $321 million, from $189 million the previous year, primarily driven by higher Bitcoin prices and an improved operational hash rate.
In December 2024, a successful offering of convertible senior notes yielded $579 million in net proceeds. This capital was partly allocated for the acquisition of an additional 5,784 Bitcoins, providing a boost that led to what was termed a “39% Bitcoin yield” for shareholders during the year.
Looking toward the future, there are prospects for exploring avenues within the artificial intelligence (AI) and high-performance computing (HPC) sectors, particularly leveraging the power assets located at the Corsicana Facility. This site has a total capacity of one gigawatt, with 600 megawatts currently unutilized, which may position it as a strategic asset in the Dallas metropolitan vicinity.
At the conclusion of the year, the company maintained a solid financial stance, with working capital totaling $439.1 million. This included $277.9 million in cash and $134.3 million in marketable equity securities. Based on Bitcoin pricing as of December 31, 2024, the firm’s holdings of Bitcoin were approximately valued at $1.65 billion.
Additionally, revenue generated from the engineering segment fell to $38.5 million, down from $64.3 million in 2023. This decline was notably due to delays associated with a significant manufacturing contract impacted by supply chain issues.
In the same period, two other publicly traded Bitcoin mining companies reported their earnings. One firm, the first BTC producer listed in the UAE, experienced increased mining revenue but reported a nearly 30% overall revenue drop to $206 million. Another company reported revenue of $29.2 million.
These results indicate that despite navigating a challenging landscape, the company has made substantial progress in both operational expansion and financial performance in the past year, setting the stage for future initiatives and potential market advantages.